VYM vs YLD
Vanguard High Dividend Yield ETF vs Principal Active High Yield ETF
Which is better, VYM or YLD?
Large Cap Value against Allocation/Balanced.
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window.
MarketXLS is not an investment adviser. This comparison is generated automatically from market data and is for information only. A Best mark means the better reading on that one measure, not a recommendation to buy.
Side-by-Side Comparison
| Metric | VYM | YLD |
|---|---|---|
| Expense Ratio | 0.04%Best | 0.39% |
| AUM | $81.6B | $602M |
| Dividend Yield | 2.22% | 7.31% |
| Holdings | 613 | 148 |
| YTD Return | +10.96%Best | +3.92% |
| 1Y Return | +15.42%Best | +4.11% |
| 3Y Return (annualized) | +17.78%Best | +8.52% |
| 5Y Return (annualized) | +12.05%Best | +4.52% |
| Volatility (annualized) | 14.1% | 8.6%Best |
| Max Drawdown | -35.7% | -30.3%Best |
| $10,000 over 5 years | $17,663Best | $12,474 |
| Fund Family | Vanguard (US) | Principal Funds |
| Category | Equity | Allocation/Balanced |
| Style | Large Cap Value | Allocation/Balanced |
| Inception | Nov 10, 2006 | Jul 8, 2015 |
Not shown on this pair: Top 10 Weight.
Volatility and max drawdown are measured over the window both funds cover: Jul 9, 2015 to Sep 22, 2026 (11.2 years).
VYM vs YLD growth
Month-end closes. Both lines start at 0% in the first month shown, so the gap between them is the difference in growth across that window. The full view covers the 11.2 years both funds cover.
VYM vs YLD Performance
Vanguard High Dividend Yield ETF (VYM) is an ETF from Vanguard (US) and Principal Active High Yield ETF (YLD) is an ETF from Principal Funds. Over the past year VYM returned +15.42% while YLD returned +4.11%. Year to date, VYM is up 10.96% versus a gain of 3.92% for YLD.
Over three years, VYM compounded at +17.78% per year against +8.52% for YLD; over five years the annualized figures are +12.05% and +4.52% respectively. Across the full 11-year window we track, VYM has the edge at +9.52% annualized vs +2.62%.
Past performance does not guarantee future results.
Risk: Volatility and Drawdowns
VYM has been the more volatile fund, with annualized monthly volatility of 14.1% compared with 8.6% for YLD. Lower volatility generally means a smoother ride, though it often comes with lower long-run returns.
The deepest peak-to-trough decline in our data was -35.7% for VYM and -30.3% for YLD. Drawdown depth is what each fund did in the worst stretch of the window measured above.
The two funds' monthly returns correlate at 0.81. They usually move together, but the gap leaves some room for diversification.
Fees and Cost Over Time
VYM charges 0.04% per year while YLD charges 0.39%. On a $10,000 position that is $4 vs $39 annually, a gap of $35 per year that compounds over a long holding period. On income, VYM currently yields 2.22% against 7.31% for YLD.
Holdings Overlap
We hold position weights for 557 holdings in VYM and 95 in YLD, totalling 99.2% and 76.0% of the two funds. The two books name no position in common, so there is no overlap percentage to show.
0 positions in common, counted across the 557 positions we hold weights for in VYM and 95 in YLD, against full books of 613 and 148.
You are not choosing between two funds in isolation.
Whichever of VYM and YLD you pick has to sit alongside everything else you own. Add the rest and see what the combination actually holds.
Free for up to 10 holdings. No account needed.
Frequently Asked Questions
Which is cheaper, VYM or YLD?
VYM has an expense ratio of 0.04% while YLD charges 0.39%. VYM is the cheaper option, by $35 a year on a $10,000 investment.
Which performed better, VYM or YLD?
Over the past year VYM returned +15.42% vs +4.11% for YLD, so VYM leads on 1-year performance. Over the longest common window we track (11 years), VYM annualized +9.52% vs +2.62% for YLD. Past performance does not guarantee future results. This is information, not a recommendation.
Which is riskier, VYM or YLD?
VYM has been the more volatile fund at 14.1% annualized versus 8.6% for YLD. Worst drawdown: VYM -35.7% vs YLD -30.3%.
Should I hold both VYM and YLD?
VYM and YLD have a monthly-return correlation of 0.81, so their returns are far enough apart for the mix to behave differently from either one alone. This is information, not a recommendation.
Which pays a higher dividend, VYM or YLD?
VYM yields 2.22% while YLD yields 7.31%, so YLD currently pays the higher dividend yield.
Is YLD better than VYM?
VYM has a lower expense ratio. VYM led over 1Y, 3Y, 5Y and the full window. Which one suits a particular account depends on what it is for. This is information, not a recommendation.